WASHINGTON -- On June 30, the Commodity Futures Trading Commission (CFTC)
issued a Policy Statement expressing the view that foreign boards of
trade that have placed automated trading systems in the U.S. pursuant to
a CFTC staff no-action letter may list certain additional futures and
option contracts through such systems without further regulatory action,
subject to certain filing and certification requirements. Newly listed
futures and option contracts will be traded subject to the terms and
conditions of the no-action relief that has previously been issued to the
particular foreign board of trade. The Statement of Policy does not apply
to contracts that are covered by Section 2(a)(1)(B) of the Commodity
Exchange Act.

The no-action letters permitting the placement of foreign trading systems
in the U.S. restricted the no-action relief to the contracts specifically
delineated in the letters. Foreign boards of trade were required to
request and receive supplemental no-action relief from CFTC staff each
time they wished to list new futures and option contracts through their
U.S.-located trading systems.

The Statement of Policy was issued in consideration of the CFTC
staff's successful experience with the relief provided by the foreign
trading system no-action letters and the CFTC’s adoption of Rule
5.3, which generally permits a domestic board of trade that has been
designated as a contract market to list new futures and option contracts
for trading upon satisfaction of certain filing and certification
requirements.

The Statement of Policy is effective immediately, but will cease to be
effective in the event that the CFTC adopts generally applicable rules or
guidelines in this area.

The Statement of Policy will be published shortly in the Federal
Register. Copies also can be obtained by contacting the Office of the
Secretariat, Three Lafayette Center, 1155 21st Street, N.W., Washington,
D.C. 20581, (202) 418-5100 or by accessing the Commission's website
at
http://www.cftc.gov/tm/tmpolicystatementforeignbots.htm